> ## Documentation Index
> Fetch the complete documentation index at: https://docs.rndrntwrk.com/llms.txt
> Use this file to discover all available pages before exploring further.

# Economic Model

> How value enters, splits, compounds, and exits the network

**RNDRNTWRK is designed so value does not disappear into a black box. When value enters the network, it follows fixed economic logic that rewards participation, funds creators, and supports the long-term operation of the system.**

**The percentages matter, but the bigger point is simpler: value is routed by explicit rules instead of platform discretion.**

## Why the Model Exists

The economic model exists to solve three problems at once.

### 1. Participation should matter economically

Audience activity is not treated as exhaust. If participation helps create value, the model should return value to the people generating it.

### 2. Creators need direct economic exposure

Creators should not rely only on opaque platform payouts. The model gives creators a defined share of the value flowing through their environment.

### 3. The network needs durable funding

Treasury, buyback, and reserve logic exist so the system can keep operating, expanding, and coordinating value over time.

## Canonical Value Routing

This is the canonical routing model for network value flows unless a specific surface is explicitly documented otherwise.

### Step 1: Audience Reward Pool

| Allocation      | Destination          |
| --------------- | -------------------- |
| 10% off the top | Audience Reward Pool |

### Step 2: Post-ARP Split

| Allocation            | Destination         |
| --------------------- | ------------------- |
| 50% of post-ARP value | Creator allocation  |
| 50% of post-ARP value | Platform allocation |

### Step 3: Platform Allocation

| Allocation | Destination        |
| ---------- | ------------------ |
| 70%        | Treasury           |
| 20%        | Buyback and burn   |
| 5%         | \$555 reserve      |
| 5%         | SOL / USDC reserve |

## What Each Part Does

### Audience Reward Pool

The Audience Reward Pool routes value back toward participation. It is how the system makes audience activity economically meaningful instead of treating it as something the platform extracts from without sharing.

### Creator Allocation

Creator allocation gives the supply side a direct claim on the value flowing through the environment they host.

### Treasury

Treasury funds network continuity, expansion, and longer-term system growth.

### Buyback and Burn

Buyback and burn creates structural demand around \$555 as value flows through the network.

### Reserve Buckets

The reserve buckets help keep the system liquid and operable across supported surfaces.

## Points

Points are the user-facing participation unit used in supported RNDRNTWRK surfaces.

They are used to track eligible activity before settlement.

### Current rules

* **10,000 points = 1 USDC**
* Points are **non-transferable**
* **+100 daily bonus** per game, per wallet, per CST day
* Points only apply on surfaces where the points layer is enabled

Points are not the payout unit. They are the participation accounting layer before settlement.

## Credits

Credits are the settlement-ready accounting unit used before payout.

They convert eligible participation balances into a form the payout system can settle.

### Current rules

* **1 credit = \$0.01**
* Credits are used before payout
* Credits resolve into USDC on supported settlement flows

If a surface supports self-withdrawal, that should be documented on the relevant product page.

## Settlement

Settlement is how eligible balances become actual payouts.

### Current settlement flow

* **Points → Credits**
* **Credits → USDC**
* **USDC settles to a supported Solana wallet**

### Current settlement cadence

* **Weekly**
* **Mondays at 05:55 CST**
* **Merkle-based distribution where applicable**

Product-specific payout details should always be documented on the relevant product pages.

## Economic Modes

The model can operate in different modes depending on which surfaces are live.

### Current mode: Launch

This mode includes:

* Points
* Credits
* Settlement
* The active routing model
* Creator and audience participation through the current live system

### Earlier mode: Prelaunch

This mode is used when:

* Points exist
* Settlement is not yet live
* The participation layer is active before full payout routing

### Expanded mode: Postlaunch

This mode can include:

* cNFT-linked surfaces
* Marketplace extensions
* Deeper creator-side economics
* Broader programmable participation and monetization modules

When the system moves between modes, the current live state should be documented explicitly.

## What This Page Owns

This page is the canonical source for:

* Value routing
* Points
* Credits
* Settlement logic
* Economic modes

Other pages should reference this page rather than restating the same model in full.

## Go Deeper

<CardGroup cols={2}>
  <Card title="Tokenomics Overview" icon="coins" href="/tokenomics/overview">
    See how the wider token model fits around the economic core.
  </Card>

  <Card title="Fee Distribution" icon="chart-pie" href="/tokenomics/fee-distribution">
    See the allocation model in the context of live network flows.
  </Card>

  <Card title="How the Protocol Works" icon="arrows-spin" href="/how-it-works">
    See how participation turns into inventory, monetization, and settlement.
  </Card>

  <Card title="Arcade Overview" icon="gamepad" href="/arcade/overview">
    See how points, rankings, and rewards appear in the player layer.
  </Card>

  <Card title="Monetization Module" icon="bullseye-arrow" href="/products/monetization-module">
    See where value enters the system in live creator and advertiser surfaces.
  </Card>
</CardGroup>
